Ahead of the industry implementation date of 21 March, the specialist lender’s online application system is live and ready for intermediaries to submit consumer buy-to-let applications.
All existing products in the Mortgage Trust range will be available to consumer buy-to-let customers.
Paragon will only accept consumer buy-to-let applications submitted by intermediaries who are fully registered with the FCA to conduct consumer buy-to-let business.
Applications that may be impacted include:
• A first-time landlord who is remortgaging a property they have inherited, as they have decided to rent it out (and who is not already a landlord)
• A first-time landlord who chooses not to sell their existing home having then decided to rent it out and finance it with a buy-to-let mortgage
John Heron, director of mortgages, said: “Whilst the proportion of this type of business is not huge across the industry, it is a potentially important gateway to property investment for first-time landlords and should be supported. Intermediaries will need to be registered to submit this type of business to us and we have designed a decision tree within our system to help them identify those applications that fall into this category.”